ESIC Tax Offset Advisory
Obtaining the ESIC status for startups and the ESIC tax offset for investors to help boost innovation.
ESIC Tax Offsets to help with your venture’s investibility.
What is ESIC?
Established in 2015 as part of the “Ideas Boom” movement, the ESIC tax incentive was designed to boost local investment towards innovative companies. Having ESIC status amongst a pool of other investible companies can make the difference towards a successful fundraise.
What are the main benefits for ESIC Investors?
The main drawcards for qualifying investors include:
non-refundable carry forward tax offsets equal to 20% of the amount paid for up to $1m in qualifying investment.
reduced capital gains tax (CGT) treatment, where capital gains on qualifying shares that are continuously held for at least 12 months and less than ten years may be disregarded.
We help both startups & investors navigate the ESIC tax offset
Eligibility for ESIC
Qualifying for the ESIC is through a number of apparent and not-so-apparent tests which our team can help you navigate:
- Early Stage Test &
- 100 point Innovation Test or
- Principles Based Innovation Test
- Sophisticated Investor Test
As well as many other requirements around shareholdings, affiliations & investment.
About the Fullstack ESIC ATO Private Ruling Service
Obtaining an ATO private ruling to verify your status can be timely and costly – that’s why we’ve introduced the service to make it more straightforward.
With our Fullstack ESIC Private Ruling service, you’ll get an eligibility questionnaire to quickly assess if you should proceed, and if so, we’ll facilitate the preparation and submission of an ATO private ruling by our tax specialists.
Having a private ruling from the ATO helps provide additional comfort for both potential investors and the company around the criteria has been successfully met.
Benefits of using Fullstack for your ESIC
Here’s why you might consider this service:
- All private rulings are compiled by Fullstack tax specialists with a high success rate of obtaining ESIC ATO private rulings.
- Fullstack tax specialists have knowledge and experience relating to the ESIC tax rules and the R&D Tax Incentive (which can dramatically boost your eligibility).
- We’ll assist with the process of obtaining a ruling and help you & investors understand what it means for potential investment.
Tax Accountants helping with ESIC & the ATO
Our startup accounting team are passionate about scaling ventures and are across the finer points of making every dollar count.
Lean on our startup specialist focus and our networks of talent & investors to help navigate through the hidden pitfalls of startup tax legislation.
Combining ESIC & capital raising expertise.
ESIC Private Rulings
We help prepare ATO private rulings to help provide investor more confidence around the incentive.
Get the professional tax advice you need to reduce surprises and improve access to the ESIC tax offset